Allowed

State Bank of India v. M/S Jai Gurudev Enterprises and Others

DRT24 Nov 2025OA/1279/2024

Case brief

AI extract

What is this about?

The Debt Recovery Tribunal allowed the bank's original application for recovery of a loan of Rs.33,23,876.00p secured by equitable mortgage, directing uniform simple interest at 8% p.a. and issuance of a Recovery Certificate.

What did the court decide?

Recovery of Rs.33,23,876.00p jointly and severally with uniform simple interest @08.00%p.a. from date of filing till realization, with power to sell mortgaged or attach personal assets.

State Bank of India versus M/S Jai Gurudev Enterprises and… — Company and Corporate | DRT (2025)

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DEBTS RECOVERY TRIBUNAL-III, CHANDIGARH

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ORIGINAL APPLICATION NO.1279/2024

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PRESIDED OVER BY MRIDULESH KUMAR SINGH

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DATE OF INSTITUTION: 28.01.2024

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DATE OF DECISION: 24.11.2025

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State Bank of India, a body corporate constituted under the provisions of The State Bank of India Act, 1955 (23 of 1955) having its Corporate Centre at State Bank Bhavan, Madam Cama Road, Nariman Point, Mumbai and one of its Local Head Office Sector-17, Chandigarh and having branches all over India including one of its Branch office amongst other branch known as Stressed Assets Recovery Branch, SCO No.15, 1^st Floor, Sector 7-C, Chandigarh through its Chief Manager Sh. Agrish Kumar Verma.

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……..Applicant

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Versus

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M/s Jai Gurudev Enterprises through its Proprietor Sh. Jasmeer Singh, R/o Ekta Colony, Chandigarh Road, Rajpura, District Patiala (Punjab)-140401.

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Sh. Jasmeer Singh S/o Sh. Munshi Ram, Proprietor, M/s Jai Gurudev Enterprises, R/o Ekta Colony, Chandigarh Road Rajpura, District Patiala (Punjab)-140401.

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Smt. Balwinder Kaur W/o Sh. Jasmeer Singh, R/o Ekta Colony, Chandigarh Road Rajpura, District Patiala (Punjab)-140401.

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Smt. Baljinder Kaur W/o Sh. Balwinder Singh R/o H.No.12, Madan Heri, Tehsil Kharar, District SAS Nagar, Mohali (Punjab)140301.

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………Defendants

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Advocates:

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Argued by Sh. Vikas Sharma, Advocate for Applicant (through VC) None for defendants Nos.1 to 3 Defendant no.4 already ex parte

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2 OA NO.1279/2024 STATE BANK OF INDIA VS M/S JAI GURUDEV ENTERPRISES AND OTHERS

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FINAL ORDER

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Present Original Application was instituted by the applicant under Section 19 of the Recovery of Debts & Bankruptcy Act, 1993, against the defendants for recovery of Rs.33,23,876.00p (Rupees Thirty Three Lacs Twenty Three Thousand Eight Hundred Seventy Six Only). The Original Application has been filed through Sh. Agrish Kumar Verma, Chief Manager of the applicant, who is competent to institute the Original Application vide Gazette Notification dated 27.03.1987 and State Bank of India General Regulations 1955, which is Annexure A1 to this OA.

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The brief facts of the OA are that the defendant No.1 through its proprietor defendant no.2 had approached the applicant for grant of CC Limit of Rs.20.00 Lacs vide Loan application dated 01.08.2016, which is Annexure A2 to this OA. Defendant nos. 3 and 4 stood as guarantors. Defendant no. 1 through its proprietor defendant no. 2 also approached the applicant for Funded Interest Term Loan (FITL) of Rs. 1,91,425/- under COVID-19 FITL Scheme. 3. The applicant sanctioned the CC Limit of Rs.20.00 Lacs vide letter of arrangement dated 03.09.2016, which is Annexure A3 to this OA and the terms and conditions were duly accepted by the defendants. Thereafter, Funded Interest Term Loan (FITL) of Rs. 1,91,425/- under COVID-19 FITL Scheme was also sanctioned by the applicant. 4. Defendant no.2 & 3 their immovable properties i.e. (i) Plot measuring 4-8/50Biswa i.e. 208 sq. yards (in the name of defendant no. 2) situated at Mauja Daknasu Kalan, Ekta Colony, Chandigarh Road, Rajpura, Tehsil Rajpura, District Patiala, Punjab vide equitable mortgage of title deed bearing vasika no. 1275 dated 10.06.2016, along with its translation, which is Annexure A6 to this OA.

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3 OA NO.1279/2024 STATE BANK OF INDIA VS M/S JAI GURUDEV ENTERPRISES AND OTHERS

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(ii) Plot measuring 3Biswa 6-2/3 Biswasi i.e. 167 Sq. yards, (in the name of defendant no. 3) situated at Mauja Daknasu Kalan, Ekta Colony, Chandigarh Road, Rajpura, Tehsil Rajpura, District Patiala, Punjab vide equitable mortgage of title deed bearing vasika Nos. 3004 dated 23.08.2012, along with its translation, which is Annexure A7 to this OA. Letters of Confirmation dated 16.09.2016 and 09.09.2013 for creation of mortgage by deposit of title deeds, which are Annexures A8 to A9 to this OA; Letter of confirmation dated 25.08.2014 for extension of mortgage, which is Annexure A9A to this OA.

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Documents executed: Loan cum Hypothecation agreement, guarantee agreement both dated 03.09.2016, which are Annexures A4 & A5 to this OA; Revival letters dated 10.08.2018 & 10.06.2021, which are Annexures A10 & A11 to this OA; Letters dated 18.01.2022 and 19.01.2022, along with their translations, which is Annexures A12 and A13 to this OA; Legal notice dated 21.01.2022, which is Annexure A14 to this OA and Statement of account along with certificate, which are Annexures A15 & A16 to this OA.

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The loan accounts became irregular and were classified as NPA and after adjusting debit and credit entries in loan accounts there was a debit of Rs.33,23,876.00p, which is recoverable and the defendants were served recall notice but defendants did not repay the outstanding amount, therefore, the applicant requested to accept the application and to issue Recovery Certificate accordingly.

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The defendants were served notice to appear before this Tribunal. Sh. Barjinder Singh, Advocate appeared on behalf of defendants nos. 1 to 3 on 21.05.2025. He filed his Power of Attorney on behalf of defendant nos. 1 to 3 on 20.05.2025. Since, WS was not filed by defendant nos. 1 to 3, their opportunity to file WS was closed and their defense was struck off on 27.10.2025. No one appeared on behalf of defendant no. 4 and she was proceeded ex-parte on 27.10.2025.

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4 OA NO.1279/2024 STATE BANK OF INDIA VS M/S JAI GURUDEV ENTERPRISES AND OTHERS

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In support of the OA, affidavit of Sh. Agrish Kumar Verma, Chief Manager, State Bank of India, has been filed. 8. Heard arguments and perused record. No one appeared on behalf of defendant nos. 1 to 3 for arguments. 9. It was argued by learned counsel through Video Conferencing that in view of the documentary evidence brought on record which had gone unrebutted, the applicant had proved its case. From the perusal of all the Annexures A1 to A16 to this OA, it is proved that the defendants approached applicant for availing of the loan facilities which were granted to them and for that they had executed all the relevant documents in favour of the bank. The defendants failed to pay back the loans as per terms and conditions of the agreement between the parties. Subsequently, accounts of the defendants were classified as NPA. From the documentary evidence brought on record, it is proved that applicant is entitled to recover a sum of Rs.33,23,876.00p (Rupees Thirty Three Lacs Twenty Three Thousand Eight Hundred Seventy Six Only) along with interest from the defendants, jointly and severally, from the date of filing of the present Original Application till realization of the accounts. 10. In so far as pendente lite and future rate of interest is concerned, the applicant in relief clause has interest @12.60%p.a. with 2% penal interest with monthly rests from 22.12.2023 till the realization.

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The Tribunal is of the considered opinion that sometimes in appropriate cases the prerogative of mercy is the brightest jewel in the crown of the Judge. Keeping in view the facts and circumstances of the instant case including nature of the mortgaged property/hypothecated assets, undertaking of the defendants, quantum of loans and prevalent market rates of interest which have gone drastically downhill in yester years, while exercising the discretion vested in this Tribunal, this Tribunal deems it just and appropriate to grant uniform simple interest

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5 OA NO.1279/2024 STATE BANK OF INDIA VS M/S JAI GURUDEV ENTERPRISES AND OTHERS

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@08.00%p.a. in both the loan accounts from the date of filing of the OA till realization of the amount ordered vide this final order. It is ordered accordingly.

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In the result, the application is allowed declaring that the defendants are liable to pay to the applicant a total sum of Rs.33,23,876.00p (Rupees Thirty Three Lacs Twenty Three Thousand Eight Hundred Seventy Six Only) jointly and severally, with costs, current and future simple interest @08.00%p.a. in both the loan accounts from the date of filing of OA till the date of realization of the amount. Accordingly, the applicant shall be entitled to recover aforesaid amount from the sale of mortgaged property/hypothecated assets of the defendants in execution proceedings if not sold earlier under the provisions of the SARFAESI Act, 2002. If the dues of the applicant still remain unsatisfied, it shall be entitled to recover the same by attachment and sale of personal assets of the defendants. The applicant is at liberty to enforce the claim through due process of law.

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Any other application pending stands disposed of . 13. Issue Recovery Certificate accordingly. 14. Parties to appear before Learned Recovery Officer of this Tribunal on 04.12.2025. 15. Copy of this order be given dasti to the applicant and be sent to defendants through registered/speed post and this order be also uploaded on the official website of this Tribunal and record be consigned.

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Pronounced by me in the open Tribunal . Dated: 24.11.2025 (MRIDULESH KUMAR SINGH) Presiding Officer, DRT-III, Chandigarh

State Bank of India v. M/S Jai Gurudev Enterprises and Others

Case brief

What is this about?

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State Bank of India v. M/S Jai Gurudev Enterprises and Others

Case brief

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